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American oil Prices - my heart bleeds, no really it does

#1
US lawmakers have taken oil giants to task over the industry's huge profits as ordinary Americans struggle with record fuel prices.

Executives from five oil companies were forced to explain why they should continue to receive $18bn in tax breaks when they made $138bn profits in 2007.

They were also criticised for not investing more in renewable energy.

In their defence, the executives said high oil prices were not their fault and the huge earnings were justified.

Executives from Exxon Mobil, Chevron Corp, ConocoPhillips, BP and Royal Dutch Shell testified before a House of Representatives committee.
So because they are beginning to pay reasonable prices for petrol they get all upset; to defend Cletus and his pals they take it out on the oil Companies, how they have the gall to challenge Shell and BP for making too much when they aren't even US companies is beyond me.

$3.29 a GALLON, suck it up fellas

FULL STORY
 
#4
Standby for Civil War II - The Carnage Continues! :twisted:

Of course, in the South they would have to call it The War of Northern Aggression II, which is'nt quite as catchy... :roll:
 
#5
Why don't the oil companies just say "Fair enough, sorry to have bothered you. 'Bye, now"?

It's the kind of inward looking isolationist fantasy that the Good Ol' US of A can be self-sufficient that stops their governments addressing international problems in a grown-up way. Perhaps having their noses rubbed in just exactly how much they depend on the rest of the world to shore up their standard of living might just take the edge off that unthinking chauvinism that gets so many backs up.
 
#6
fuctifino said:
So because they are beginning to pay reasonable prices for petrol they get all upset; to defend Cletus and his pals they take it out on the oil Companies, how they have the gall to challenge Shell and BP for making too much when they aren't even US companies is beyond me.

$3.29 a GALLON, suck it up fellas

FULL STORY
In US there are huge distances to traverse, mate, and most Americans have far longer commutes than we do. For the most part, except around large cities, the public transit hardly exists.

That being said, many continue to buy huge petrol guzzling SUVs and pick up trucks, so for them, I've no sympathy.
 
#7
KevinB said:
fuctifino said:
So because they are beginning to pay reasonable prices for petrol they get all upset; to defend Cletus and his pals they take it out on the oil Companies, how they have the gall to challenge Shell and BP for making too much when they aren't even US companies is beyond me.

$3.29 a GALLON, suck it up fellas

FULL STORY
In US there are huge distances to traverse, mate, and most Americans have far longer commutes than we do. For the most part, except around large cities, the public transit hardly exists.

That being said, many continue to buy huge petrol guzzling SUVs and pick up trucks, so for them, I've no sympathy.
So the point here is that I only have a 2 mile commute to work so I should pay more for my petrol than you who commutes 10 miles, plainly ridiculous.

The major reason Americans pay less for fuel is that their government decides to tax them less on it. I have to agree with the point that if they don't want to pay for it then the oil companies could quite easily flog it elsewhere, it's called market forces, business is in the business of making profit not giving it's product away just because its customers believe they are paying to much for it.

I find myself agreeing that the American public has had it good for a long while, if fuel prices are rising over there then tough get used to it like the rest of the world.
 
#8
So because they are beginning to pay reasonable prices for petrol they get all upset

It's not them that are being frced to pay reasonable rates, it's us that are paying way too much in tax.


Under the guise of being environmentally friendly, the biggest lie ever sold, when it emerged that there was a 200 gbp per person shortfall in the budget this year, it was said that allister dowling will make up the difference in "green taxes" whilst the world is getting warmer, of that there is little dispute, I think it's very arrogant to think it's us as a species who are doing it.

The earth has always fluctuated in temperature since time began.
 
#9
I have to say that I'm actually really affected by this. I have a very efficient car, about 35 mpg highway.

I have to commute a distance of 70 miles a day each way. I went to google earth to find a route you could relate to and it would be equivalent of you driving from Portsmouth to Buckinghamshire and back every day.

I spend now, roughly $5,000 US just on gas and tolls to get to work. That's a fairly significant amount of money. Moving isn't an option with 2 small children under the age of 2 with a mother in law that watches them.

You have to remember, the economy has to catch up to the prices. They've pretty much doubled in the past 2 years and it's not like my salary has.

I know you guys have much higher prices, and Germany even higher prices and everyone is getting crunched by the demand.

But it's important that you realize that most Americans don't run around in big gas guzzling soccer mom mobiles. Some Americans make $6 an hour, some waitstaff, $3.20 an hour with tips. Now factor in the gas to get to those jobs and you can see that they are the hardest hit. Especially in areas without public transportation.

The idea behind the oil isn't necessarily an American feeling of "entitlement" it stems more from the cheap gas prior to the 70s when texas produced much of the worlds oil. Much of the infrastructure still revolves around that.
 
#11
supermark500 said:
Plus their sales tax is only about 4 or 5% and not 17.5% like us :evil:
I think you'll find that about 65% of what you pay at the pump is tax, VAT and petrol duty. (More if you count things like corporation tax on the oil companies.)

In CA we get taxed 62.8 cents a (US) gallon (about 3.78L) and regular unleaded gas in LA is $3.60-$3.80 a gallon, but because of the size of the engines, it's not uncommon to see people spending in excess of $110-120 to fill a tank with the bigger SUVs and older Cadillacs etc.

The lesson the natives need to learn is that the 6 litre, 300 BHP engine in your SUV probably isn't necessary to take Caitlin and Jordan to soccer practice on a freeway where for 20 hours a day you're lucky to get up to 45mph.
 
#12
In US there are huge distances to traverse, mate, and most Americans have far longer commutes than we do. For the most part, except around large cities, the public transit hardly exists.
Not trying to be picky but with all the space they have is this not a matter of choice? I live in South Birmingham and am about to move to Shropshire but stay in my job in Dudley. My travelling distance will more than double but if I'm not prepared to take the hit I can't move. Like I said, its a matter of choice.
 
#13
zippy483 said:
KevinB said:
fuctifino said:
So because they are beginning to pay reasonable prices for petrol they get all upset; to defend Cletus and his pals they take it out on the oil Companies, how they have the gall to challenge Shell and BP for making too much when they aren't even US companies is beyond me.

$3.29 a GALLON, suck it up fellas

FULL STORY
In US there are huge distances to traverse, mate, and most Americans have far longer commutes than we do. For the most part, except around large cities, the public transit hardly exists.

That being said, many continue to buy huge petrol guzzling SUVs and pick up trucks, so for them, I've no sympathy.
So the point here is that I only have a 2 mile commute to work so I should pay more for my petrol than you who commutes 10 miles, plainly ridiculous.

The major reason Americans pay less for fuel is that their government decides to tax them less on it. I have to agree with the point that if they don't want to pay for it then the oil companies could quite easily flog it elsewhere, it's called market forces, business is in the business of making profit not giving it's product away just because its customers believe they are paying to much for it.

I find myself agreeing that the American public has had it good for a long while, if fuel prices are rising over there then tough get used to it like the rest of the world.
First, mate, am not American and I take their tube to work, for the most part. I have a small economy car for when I cannot.

Second, is hardly a question of '10 miles' - more like 40 to 50 that many commute. The government has not levied such high tax because it would have an adverse effect on the US economy. But I do agree, those who drive such wasteful vehicles deserve what they get.
 
#14
KevinB said:
zippy483 said:
KevinB said:
fuctifino said:
So because they are beginning to pay reasonable prices for petrol they get all upset; to defend Cletus and his pals they take it out on the oil Companies, how they have the gall to challenge Shell and BP for making too much when they aren't even US companies is beyond me.

$3.29 a GALLON, suck it up fellas

FULL STORY
In US there are huge distances to traverse, mate, and most Americans have far longer commutes than we do. For the most part, except around large cities, the public transit hardly exists.

That being said, many continue to buy huge petrol guzzling SUVs and pick up trucks, so for them, I've no sympathy.
So the point here is that I only have a 2 mile commute to work so I should pay more for my petrol than you who commutes 10 miles, plainly ridiculous.

The major reason Americans pay less for fuel is that their government decides to tax them less on it. I have to agree with the point that if they don't want to pay for it then the oil companies could quite easily flog it elsewhere, it's called market forces, business is in the business of making profit not giving it's product away just because its customers believe they are paying to much for it.

I find myself agreeing that the American public has had it good for a long while, if fuel prices are rising over there then tough get used to it like the rest of the world.
First, mate, am not American and I take their tube to work, for the most part. I have a small economy car for when I cannot.

Second, is hardly a question of '10 miles' - more like 40 to 50 that many commute. The government has not levied such high tax because it would have an adverse effect on the US economy. But I do agree, those who drive such wasteful vehicles deserve what they get.
Actually my commute is 70. each way 140 miles if you count by days at work.
 
#15
ghost_us said:
Actually my commute is 70. each way 140 miles if you count by days at work.
That is horrendous, but as I say, with the huge distances to traverse, not that unusual and as you say, American wages have not kept up with inflation. Not sure where you live, but when I was in Florida, would say that two thirds of the vehicles were SUVs or pickup trucks that were not being used as business vehicles. I noticed near all the SUVs were driven by a lone woman. :?:

Here in the northeast, are less of them, but still would say one third to one half are SUVs. I believe at one point tax credits were given to those who bought them! It should be just the opposite.
 
#16
ghost_us said:
I have to say that I'm actually really affected by this. I have a very efficient car, about 35 mpg highway.
My bold.

That's half the problem - 35 mpg is not a very efficient car, its low average!

The TV adverts are full of phases like "The new fuel efficient Dodge Caliber does 30 mpg on the highway".
 
#17
KevinB said:
ghost_us said:
Actually my commute is 70. each way 140 miles if you count by days at work.
That is horrendous, but as I say, with the huge distances to traverse, not that unusual and as you say, American wages have not kept up with inflation. Not sure where you live, but when I was in Florida, would say that two thirds of the vehicles were SUVs or pickup trucks that were not being used as business vehicles. I noticed near all the SUVs were driven by a lone woman. :?:

Here in the northeast, are less of them, but still would say one third to one half are SUVs. I believe at one point tax credits were given to those who bought them! It should be just the opposite.
I live in Pennsylvania, up in the Northeast. While pickup trucks are popular with the "country type folk"

I agree with you about the SUVs which I would say up to a year ago, maybe one in three cars was some huge lumbering behemoth but lately I've seen a sort of conversion of sorts.

When someone bitches to me that their fuel bill for their suv is $150 I usually tell em buy a smaller more efficient car and rent a truck when you need one.

But what the poster in this thread missed is that many Americans can't really afford a car, and believe it or not, they are the ones most affected by the fuel prices.

Fuel costs affect everything, food, manufactured and trade items, you name it.

Goods are hauled by two main modes of transport in the US. Either by Rail or by truck. Most being by truck as retailers have distribution paths that make by rail unfeasible. Trucking is really getting hammered by the prices making it less profitable to haul, which in turn they pass the expense, making shipping more expensive, which passes to the consumer making the items more expensive.

BTW- I would kill someone for a 2 mile commute to work. Shit if I had that I would jog there and leave the car home.

Seriously, I would ride a bike or something.
 
#18
KevinB said:
First, mate, am not American and I take their tube to work, for the most part. I have a small economy car for when I cannot.

Second, is hardly a question of '10 miles' - more like 40 to 50 that many commute. The government has not levied such high tax because it would have an adverse effect on the US economy. But I do agree, those who drive such wasteful vehicles deserve what they get.
They chose to live 40 to 50 miles from where they work, people in other countries manage to survive without commuting as far, so could they.

Fuel prices have nothing to do with oil company profits, petrol and diesel are essentially by-products that they get rid of at not much more than cost - which is why they won't sell it abroad, the transport would cost too much.
Fuel has been subsidised by the US Gov for decades, now the subsidy isn't rising at the same rate as the price of oil, prices are going up, that price is only going to continue to rise. Instead of whinging about the inevitable, they should sort out their town planning so that people aren't living in a different zip code to their job, and invest some money in providing a minimum standard of public transport.

America and Americans blindly stumbling into being utterly reliant on cars is their own fault, it's time they did something about it - how much do they think fuel will cost 20 years from now?

Flying Felix said:
That's half the problem - 35 mpg is not a very efficient car, its low average!
I thought that, at first, then I realised that will be American gallons. According to this convertor that's 42 real mpg. Which is still fairly average.
 
#19
Flying Felix said:
ghost_us said:
I have to say that I'm actually really affected by this. I have a very efficient car, about 35 mpg highway.
My bold.

That's half the problem - 35 mpg is not a very efficient car, its low average!

The TV adverts are full of phases like "The new fuel efficient Dodge Caliber does 30 mpg on the highway".
This is true, but there are a few things to factor in. First is that 35 mpg is among the more fuel efficient cars being marketed where I live. When I bought the car, its an Acura Tsx btw, the hybrid cars were just coming out and the prices for them were astronomical.

I could try to find and special order a three wheel Mr Bean type 65 mpg car/cart, however, I have to drive down a major highway to work. The alternative is an extra hour to take side roads making the commute approx. 2.5 hours each way if I did otherwise.

I have to drive alongside 18 wheelers where I would say on average there is at least 1 for every 3-4 cars on the road.

Honestly, I do not possess the balls to drive something that small alongside
18 wheelers on a daily basis.
 
#20
The 10 mile commute statement was only a device to illustrate that it is riduculous to think that just because a group of people do a lot of mileage then their petrol should be cheaper, petrol is petrol regardless of the miles you do, fair enough it is a greater burden on those with long commutes but that is just unfortunate. I dont expect the greengrocer to charge me less for my oranges because I buy 12 pounds a week than he charges the guy down the road who only buy's 1 pound a week, it is the price of the commodity and people have to get used to it and the fact that there is greater demand for the product hence prices rise, it is just economics.

I agree though that the tax burden on fuel in the UK is ridiculous if the pump price is 65% tax then the actual tax burden is roughly 200%.

Any way I blame all those Chinese, cheeky bar stewards nicking our natural resources who do they think they are :wink: